Elderly hit by power bill hike

The Queensland Competition Authority yesterday recommended a 13.8% hike in power bills for next year, blaming higher transmission and distribution costs and more expensive retail costs.

However, energy minister Stephen Robertson said he had already raised serious questions about the plan.

“I have directed my department and treasury to carry out a rigorous analysis of the QCA’s methodology,” Mr Robertson said.

“For instance, I fail to understand how New South Wales’ independent tribunal has this week assumed a 0% increase in the cost of energy, while the QCA today assumes it is rising at 10.7%, and passed on a significant increase as a result.”

LNP acting leader Lawrence Springborg said Peter Beattie and Anna Bligh put their hands on their hearts three and half years ago and promised retail deregulation would deliver Queenslanders cheaper electricity.

“But since then, tariffs have soared and today’s recommended increase will add another $280 a year to average home power bills,” Mr Springborg said.

Helen Ross, of Mooloolaba, who has been waging a war with AGL over her power bills, said the planned increases were outrageous.

“I’m fed up with the electricity prices,” the pensioner, who lives in a unit, said.

“I’ve got an air-conditioner but I’m not game to turn the thing on.”

Ms Ross said while she was fortunate enough to get an afternoon seabreeze, other pensioners would face stifling summers without air because of the soaring power costs.

Mr Robertson said he was concerned about the impact on low income earners and pensioners and would examine financial assistance for those doing it tough.

The government already provides up to $720 a year for households struggling to pay their power bills and $190 a year for a pensioners and seniors electricity rebate.

Under the planned hikes, households with bills of about $350 a quarter will pay an extra $194 next year.

Mr Robertson said the QCA’s final price decision would be announced by May 31 and come into effect on July 1.